$2,400,000 375.000 Common shares (unlimited authorized, 150,000 Issued) Preferred shares (54 cumulative convertible 100.000 authorized, 5.000 issued Contributed surplus-reacquisition of common shares Retained earnings 30.000 1.275.000 The following selected transactions occurred during the year: Feb 11 Issued 50,000 common shares at $20 per share. Mar 2 Reacquired 20.000 common shares at $22 per share June Split the common shares 2 tor 1 when the common shares were trading at $30 per share July 25 Reacquired 500 preferred shares at $70 per share Sept. 16 Reacquired 50,000 common shares for $17 per share Oct 27 Declared a 5% common stock dividend distributable on December 13 to shareholders of record on November 24 The fair value of the common shares on October 27 was 519 per share Distributed the stock dividend declared on October 27. The fair value of the common shares on December 13w Dec $21 per share 13 Why is the Contributed Surplus account reported in shareholders equity